BlackWallet Hacked: Around $400,000 worth of XLM Stollen From Users Wallets
The growth of the interest in the cryptocurrency market has unfortunately for this market also drawn a lot of interest from hackers and crypto attackers. The latest such attack targeted the server that hosts BlackWallet and led to the loss of around $400,000 from users' accounts.
BlackWallet is a web-based wallet application. The app stores Stellar Lumen, which is now listed on Coin Market Cap on the nine position, after NEO. The cryptocurrency is valued at $0.48.
Hackers moved Stellar Lumens from BlackWallet to Bittrex
The attack on BlackWallet is said to have taken place on Saturday. Reportedly, the attackers managed to get into the possession of 660,920 Stellar Lumens from users. Following the attack, the hackers allegedly moved the cryptocurrencies to Bittrex, one of the most popular cryptocurrency exchanges.
Bleeping Computer reported that hackers will most likely convert the stolen Stellar Lumens into another cryptocurrency in order to quickly hide all tracks.
Reportedly, BlackWallet tried to immediately warn users that the attack took place via forums. However, many users did not get the information, so they became victims of the attack as they accessed their accounts. The developer of BlackWallet immediately apologized to users for what happened. He also expressed hope that users will be able to get their funds back.
The developer of the wallet applications said that he has been talking with the hosting provider to obtain as much information about the attack as possible. Users were also encouraged not to log in. However, no other information was disclosed now to prevent a potential new hack.
The attack itself has once again raised concerns on the safety of web wallets, which seem to be quite vulnerable to attacks. However, many platforms have started to implement new safety protocols. More safety protocols introduced by both exchanges and wallet applications are expected to further increase security and reduce the risks of such attacks.